Hungary

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Question Value
1. Is there a ban on donations from foreign interests to political parties?
  • CodeYes
  • Comment

    The Law on Party Finance of Hungary prohibits donations from companies and foreign individuals or organizations.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

2. Is there a ban on donations from foreign interests to candidates?
  • CodeYes
  • Comment

    The Law on Party Finance of Hungary prohibits donations from companies and foreign individuals or organizations to both parties and candidates

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

3. Is there a ban on corporate donations to political parties?
  • CodeYes
  • Comment

    Donations from companies are forbidden.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

4. Is there a ban on corporate donations to candidates?
  • CodeYes
  • Comment

    In accordance with the Party Act, the sources of income to a political party are the following: membership fees, subsidies granted from the State budget, pecuniary contributions from legal entities, unincorporated economic associations and private persons, estates of private persons inherited on the basis of their will and business activities of the party (Article 4(1))

  • Source

    Political Parties Act 1994, Article 4(1)

    Greco Eval III Rep _2009_ 8E Final Hungary 

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

      

5. Is there a ban on donations from Trade Unions to political parties?
  • CodeNo data
  • Comment
  • Source

     

     

6. Is there a ban on donations from Trade Unions to candidates?
  • CodeNo data
  • Comment
  • Source

     

     

      

7. Is there a ban on anonymous donations to political parties?
  • CodeYes
  • Comment

    Political parties are not allowed to accept anonymous donations (and such donations are to be transferred to the State.

  • Source

    Article 4 (3) of the Law XXXIII on the operation and management of the parties, 1989

8. Is there a ban on anonymous donations to candidates?
  • CodeNo, but specific limit
  • Comment

    From the OSCE/ODIHR Report we can understand that donations are anonymous to a certain limit. There are no explicit caps on individual donations, which potentially fosters dependence on financial contributions by large donors. Consequently, in the report it is stipulated that "as full lists of donors are neither published nor submitted to relevant authorities, transparency in campaign finance is further curbed and the prospect of party’s reliance on a single donor is reinforced."

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

9. Is there a ban on donations from corporations with government contracts to political parties?
  • CodeYes
  • Comment

    See in the first part of the questionnaire.

  • Source
10. Is there a ban on donations from corporations with government contracts to candidates?
  • CodeYes
  • Comment

    See section 1 from this questionnaire.

  • Source
11. Is there a ban on donations from corporations with partial government ownership to political parties?
  • CodeYes
  • Comment

    See section 1 of this questionnaire.

  • Source
12. Is there a ban on donations from corporations with partial government ownership to candidates?
  • CodeYes
  • Comment

    See in the first part of the questionnaire.

  • Source
13. Is there a ban on the use of state resources in favour or against a political party or candidate?
  • CodeNo
  • Comment

    Referring to OSCE/ODIHR Final Report on Parliamentary Elections 2018, there were many instance of use of admin resources."The ubiquitous overlap between government information and ruling coalition campaigns, and other abuses of administrative resources, blurred the line between state and party, at odds with OSCE commitments." Thus even they recommended that in order to level the playing field, steps should be taken to separate government administration and party campaigning, including by adopting legislation that would define and explicitly prohibit the abuse of administrative resources in a campaign

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

14. Is there a limit on the amount a donor can contribute to a political party during a non-election specific period?
  • CodeNo
  • Comment

    There are no restrictions with regard to the size or periodicity of the contributions, but donations over a certain value are to be reported, see below. Likewise, no restrictions apply in respect of party membership subscription fees, loans, cash or no cash donations to parties, fund raising activities or in respect of contributions from entities relating to political parties.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

15. If there is a limit on the amount a donor can contribute to a political party during a non-election specific period, what is the limit?
  • CodeNot applicable
  • Comment

    Political parties may receive private funding only from clearly identifiable domestic citizens i.e. anonymous contributions are not allowed. There are no restrictions with regard to the size or periodicity of the contributions, but donations over a certain value are to be reported. Thus donations from private citizens in excess of HUF 500,000 = 1 531 EUR (1 EUR = 327 HUF) must be itemized in party financial reports, which are submitted to the State Audit Office (SAO). These reports are insufficiently detailed, including on how public funds are spent, which constitute a sizable share of party budgets.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

     

      

16. Is there a limit on the amount a donor can contribute to a political party during an election?
  • CodeNo
  • Comment

    There are no explicit caps on individual donations, which potentially fosters dependence on financial contributions by large donors. As full lists of donors are neither published nor submitted to relevant authorities, transparency in campaign finance is further curbed and the prospect of party’s reliance on a single donor is reinforced.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

17. If there is a limit on the amount a donor can contribute to a political party during an election, what is the limit?
  • CodeNot applicable
  • Comment
  • Source
18. Is there a limit on the amount a donor can contribute to a candidate?
  • CodeNo
  • Comment

    There are no explicit caps on individual donations, which potentially fosters dependence on financial contributions by large donors. As full lists of donors are neither published nor submitted to relevant authorities, transparency in campaign finance is further curbed and the prospect of party’s reliance on a single donor is reinforced.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

19. If there is a limit on the amount a donor can contribute to a candidate, what is the limit?
  • CodeNot applicable
  • Comment

    There are no explicit caps on individual donations, which potentially fosters dependence on financial contributions by large donors. As full lists of donors are neither published nor submitted to relevant authorities, transparency in campaign finance is further curbed and the prospect of party’s reliance on a single donor is reinforced

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

20. Is there a limit on the amount a candidate can contribute to their own election campaign?
  • CodeNo data
  • Comment
  • Source
21. Is there a limit on in-kind donations to political parties?
  • CodeYes
  • Comment

    In accordance with the Party Act, contributions/donations to political parties exceeding five hundred thousand HUF (approx. 2000 €) provided in one calendar year, shall be shown separately in the financial statement and the name of the contributor as well as the value of the contribution are to be indicated. These regulations are also applicable to in-kind donations and are binding for every party, whether it receives public funding or not. However, the financial statement does not contain any guidance in respect of the accounting of loans or in-kind donations and campaign costs are to be indicated under “political activities” with no further details, just to mention a few lacunae. Furthermore, the GET (The GRECO Evaluation Team) notes that the provisions do not expressly clarify how in-kind donations (e.g. goods or voluntary work) are to be evaluated.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

22. Is there a limit on in-kind donations to candidates?
  • CodeNo
  • Comment

    In-kind donations are not regulated in election campaigns

     

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report https://www.osce.org/odihr/elections/hungary/385959?download=true

23. Is there a ban on political parties engaging in commercial activities?
  • CodeYes
  • Comment

    Political parties may carry out only certain business activities which are permitted in the Parties Act. For example, parties are allowed to publish and distribute publications, sell badges and similar objects, and may organise party events for fund raising purposes. Parties may also let on lease and sell property owned by them. Furthermore, parties may establish their own limited liability companies; however they may not acquire stakes in other economic associations. Parties may invest in any assets except company shares. Moreover, political parties may not establish party foundations or any other foundation for business or funding purposes, but they may form other types of foundations for other goals, in accordance with the ARA

  • Source

    Article 4 (1) of the Political Parties Act

24. Is there a ban on political parties taking loans in relation to election campaigns?
  • CodeNo
  • Comment

    Between 2000 and 2007 political parties represented in Parliament were given from State free use of several real estates. Since 2007, political parties which, following parliamentary elections are entitled to form a parliamentary group, may apply to the Magyar Fejlesztési Bank Zrt. (Hungarian Development Bank Zrt.) for a loan at special discount to finance the purchase of real estate property for their offices. This type of loan is available to each political party only once. 

    Likewise, no restrictions apply in respect of party membership subscription fees, loans, cash or no cash donations to parties, fund raising activities or in respect of contributions from entities relating to political parties.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

     

25. Is there a ban on candidates taking loans in relation to election campaigns?
  • CodeNo
  • Comment

    In election campaigns parties may also solicit private funds and several parties relied on loans from banks and individuals. For the Parliamentary Elections 2018, one party (DK) was partially funded by a loan from its prime ministerial candidate; LMP acquired a bank loan of HUF 150 million = EUR 459 331.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

26. Is there a ban on donors to political parties/candidates participating in public tender/procurement processes?
  • CodeNo data
  • Comment
  • Source
27. Are there provisions requiring donations to go through the banking system?
  • CodeNo data
  • Comment

    It is not mentioned in the consulted sources about this matter

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary ETS173 PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

Question Value
28. Are there provisions for direct public funding to political parties?
  • CodeYes, both regularly provided funding and in relation to campaigns
  • Comment

    Political parties are entitled to direct funding from the State budget on certain conditions, contained in the Party Act :

    a) 25 per cent of the total state support allocated to political parties is to be divided equally between the parties that have obtained mandates from the national list;

    b) 75 per cent is to be provided to all parties participating in the parliamentary election, in proportion to the votes cast in favour of them, provided they have received more than one per cent of the votes cast.

    Public campaign funding is also provided and each party with a national list is entitled to between HUF 150 and 600 million, depending on the number of nominated candidates. In addition, each single-member constituency candidate is eligible for approximately HUF 1 million.

    (Adjusted for inflation. A candidate in a single-member constituency race receives an average of HUF 12 per registered voter; a party that has a maximum number of candidates would receive some HUF 75 per voter. Minority lists are collectively funded with approximately HUF 300 million.)

  • Source

    Article 5 of the Political Parties Act

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

29. What are the eligibility criteria for political parties to receive public funding?
  • CodeShare of votes in previous election | Share of seats in previous election | Number of candidates
  • Comment

    Of the public funds, 25 per cent is equally divided among parliamentary parties and 75 per cent is divided among all parties proportionately on the basis of the vote share; parties receiving less than one per cent of the vote do not receive public funding. The state also provides funding to party foundations based on the number of votes obtained by the relevant party and its candidates.

    *** The largest recipient of public funding in 2017 was Fidesz and its party foundation (HUF 876.6 million and HUF 529.7 million), followed by MSzP and its foundation (HUF 427 million and HUF 234.2 million), Jobbik and its foundation (HUF 475.8 million and HUF 266.2 million). Overall, public subsidies for parties and party foundations in 2017 was HUF 3,809,800,000 (some EUR 12.7 million).

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

30. What is the allocation calculation for political parties to receive public funding?
  • CodeProportional to votes received | Proportional to seats received
  • Comment

    Public funding is only provided at central level in Hungary. Political parties are entitled to direct funding from the State budget on certain conditions, contained in the Party Act (Article 5):

    a) 25 per cent of the total state support allocated to political parties is to be divided equally between the parties that have obtained mandates from the national list;

    b) 75 per cent is to be provided to all parties participating in the parliamentary election, in proportion to the votes cast in favour of them, provided they have received more than one per cent of the votes cast. 

    Since 2007, the total amount of public funding has been 2,6 billion HUF (approx. 10,4 million €) annually, as defined by the Act on the State Budget. State subsidies are paid quarterly.

    Party finance reports from 2017 list only general categories of spending and income. The share of public funds: LMP - 83 per cent, Jobbik – 82 per cent, Fidesz – 80 per cent, DK – 67 per cent and MSzP - 26 per cent.

  • Source

    Article 5 of the Political Parties Act 

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

      

31. What are the provisions on 'ear marking' direct public funding to political parties (how it should be used)?
  • CodeNo
  • Comment

    There are no provisions in regards to the use of public funding, but the reporting obligation.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

32. Are there provisions for free or subsidized access to media for political parties?
  • CodeNo
  • Comment

    Indirect public funding takes the form of free media information during election campaigns only and under certain conditions.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://www.osce.org/odihr/elections/hungary/385959?download=true

      

33. What criteria determine allocation for free or subsidized access to media for political parties?
  • CodeEqual
  • Comment

    The Act on Election Procedures obliges the media to grant all contestants equal opportunity, but vaguely defines provisions for its implementation. The law envisages 600 minutes of free airtime on the public broadcaster and permits paid political advertising in the print and online media. Paid political advertisements are banned on commercial radio and TV, but such media may provide airtime free of charge on an equal basis.

    Usually the public broadcaster fulfilles its legal obligation to divide free airtime equally, but not all parties availe themselves of the opportunity and some used their airtime to criticize the broadcaster for ignoring them outside of the campaign.

  • Source

    Political Parties Act; Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

34. Are there provisions for free or subsidized access to media for candidates?
  • CodeYes
  • Comment

    Indirect public funding takes the form of free media information during election campaigns only and under certain conditions.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://www.osce.org/odihr/elections/hungary/385959?download=true

      

35. Are there provisions for any other form of indirect public funding?
  • CodeTax relief
  • Comment

    Donations received by parties/election candidates are not subject to taxation. Political parties need not pay any corporate taxes on their business activities as defined by law. Political parties do not pay local taxes but have to pay real estate taxes, company car tax and, if they have employees, they must pay all of the accompanying taxes and social security fees.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

     

      

36. Is the provision of direct public funding to political parties tied to gender equality among candidates?
  • CodeNo
  • Comment

    Women are underrepresented in political life and there are no legal requirements to promote gender equality in elections. Some 30 per cent of candidates were women. Although one major party placed a woman at the top of its national list and some parties addressed gender-related issues in their platforms, the empowerment of women received scant attention as a campaign issue, including in the media.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

37. Are there provisions for other financial advantages to encourage gender equality in political parties?
  • CodeNo
  • Comment

    Women are underrepresented in political life and there are no legal requirements to promote gender equality in elections. Some 30 per cent of candidates were women. Although one major party placed a woman at the top of its national list and some parties addressed gender-related issues in their platforms, the empowerment of women received scant attention as a campaign issue, including in the media.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

Question Value
38. Is there a ban on vote buying?
  • CodeYes
  • Comment

    Violations of party financing laws may trigger criminal procedures for fraud, embezzlement, tax fraud, bribery, forgery of documents, misappropriation of funds etc. These crimes may be prosecuted ex officio or on the initiative of anyone.

  • Source

    SAO Act, section 25; ARA, section 14 (2), 16 and the Civil Code, section 74/F 

39. Are there limits on the amount a political party can spend?
  • CodeNo
  • Comment

    According to the Election Procedure Act, there are spending caps in relation to elections; political parties may only spend up to 5 million HUF (approx. 15 300 €) for each single-member and national list candidate, amounting to HUF 995 million for the parties that field the maximum number of candidates. in addition to the budgetary support to cover material costs in the elections that they receive from the state. Parties may also solicit private funds and several parties relied on loans from banks and individuals. There are no explicit caps on individual donations, which potentially fosters dependence on financial contributions by large donors. As full lists of donors are neither published nor submitted to relevant authorities, transparency in campaign finance is further curbed and the prospect of party’s reliance on a single donor is reinforced

    GRECO recommeded that:

    Point 3.b.ii of the Recommendation Rec (2003)4 of the Committee of Ministers of the Council of Europe “On Common rules against corruption in the funding of political parties and electoral campaigns” recommends that states “consider the possibility of introducing rules limiting the value of donations to political parties”.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

40. If there are limits on the amount a political party can spend, what is the limit?
  • CodeNot applicable
  • Comment
  • Source
41. Are there limits on the amount a candidate can spend?
  • CodeYes
  • Comment

    Campaign expenditure ceilings are set at approximately HUF 5 million for each single-member and national list candidate, amounting to HUF 995 million for the parties that field the maximum number of candidates. Parties may also solicit private funds and several parties relied on loans from banks and individuals

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

42. If there are limits on the amount a candidate can spend, what is the limit?
  • CodeHUF 5 million for each single-member and national list candidate | HUF 995 million for the parties that field the maximum number of candidates
  • Comment

    Approximately HUF 5 million for each single-member and national list candidate, amounting to HUF 995 million for the parties that field the maximum number of candidates.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

43. Are there limits on the amount that third parties can spend on election campaign activities?
  • CodeNo
  • Comment

    The law does not provide for the oversight of third-party financing.

    For example, in the last parliamentary scrutiny of 2018, the large-scale 15 March “peace march”, organized by a CSO, was not subject to campaign finance oversight. Further, the ODIHR LEOM observed instances of party-affiliated CSOs distributing goods on behalf of candidates. The lack of oversight of third-party spending undermines the effectiveness of the overall campaign finance system and impedes the ability of political actors to compete on a level playing field.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

44. Are there limits on traditional media advertising spending in relation to election campaigns?
  • CodeYes, for candidates
  • Comment

    Paid political advertisements are banned on commercial radio and TV, but such media may provide airtime free of charge on an equal basis

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

45. Are there limits on online media advertising spending in relation to election campaigns?
  • CodeYes, for candidates
  • Comment

    The law envisages 600 minutes of free airtime on the public broadcaster and permits paid political advertising in the print and online media. However the limits for spending on media are equal to the limits for general expenditues.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

46. Do any other restrictions on online media advertisement (beyond limits) exist?
  • CodeNo
  • Comment
  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

Question Value
47. Do political parties have to report regularly on their finances?
  • CodeYes
  • Comment

    Nominating organisations (most often political parties) and independent candidates are obliged to publish the amount/resource and method of utilisation of state subsidies and other funds, financial support spent on the elections in the Official Hungarian Gazette, within 60 days following the second round of the elections (Electoral Procedure Act Article 92 (2)). 

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary ETS173 PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

48. Do political parties have to report on their election campaign finances?
  • CodeYes
  • Comment

    In terms of campaign finance expenditure, candidates and parties in receipt of funds for singlemember constituency races (HUF 1 million) have 15 days from the announcement of results to submit detailed financial reports to the ST. The ST acknowledges that it has limited powers to establish the veracity of these reports.80 There are no reporting requirements for the national list funding, though candidates and parties have 60 days to publish statements on the amount, source and use of all campaign funds. These statements, however, contain little detail.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

49. Do candidates have to report on their election campaign finances?
  • CodeYes
  • Comment

    The same rules apply for both parties and candidates.

    In terms of campaign finance expenditure, candidates and parties in receipt of funds for singlemember constituency races (HUF 1 million) have 15 days from the announcement of results to submit detailed financial reports to the ST. The ST acknowledges that it has limited powers to establish the veracity of these reports.80 There are no reporting requirements for the national list funding, though candidates and parties have 60 days to publish statements on the amount, source and use of all campaign funds. These statements, however, contain little detail

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

50. Do third parties have to report on election campaign finances?
  • CodeNo
  • Comment

    The law does not provide for the oversight of third-party financing. For example, the large-scale 15 March “peace march”, organized by a CSO, was not subject to campaign finance oversight. Further, the ODIHR LEOM observed instances of party-affiliated CSOs distributing goods on behalf of candidates. The lack of oversight of third-party spending undermines the effectiveness of the overall campaign finance system and impedes the ability of political actors to compete on a level playing field.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

51. Is information in reports from political parties and/or candidates to be made public?
  • CodeYes
  • Comment

    Art. 8 C. (8), Section (1) Each candidate and marking organization shall publish in the Hungarian Bulletin, within 60 days of the parliamentary elections, the amount, source and method of utilization of the state and other funds, financial aids for election.

  • Source

    Law LXXXVII on the  election of parliamentary representatives and transparency of campaign costs.

52. Must reports from political parties and/or candidates reveal the identity of donors?
  • CodeYes
  • Comment

    Regarding publicity, the authorities stress that a party is obliged to publish a financial statement in the Hungarian Official Gazette in which each contribution exceeding 500 000HUF (approx. 1 667€) obtained in the calendar year shall be displayed separately with the contributor’s name and the amount.

  • Source

    GRECO second compliance report RC-III Hungary. ”Transparency of Party Funding”

    https://www.coe.int/en/web/greco/evaluations/hungary

53. Must reports from political parties and/or candidates include information on itemized income?
  • CodeSometimes
  • Comment

    Only donations from private citizens in excess of HUF 500,000 must be itemized in party financial reports, which are submitted to the State Audit Office (SAO).

    In the last report OSCE/ODIHR suggested that in order to encourage transparency in campaign finance, prevent possible fraud and abuse of public funding, itemized reporting on income and expenditures for individual candidates and parties should be published by the SAO, including online and in a searchable format. The SAO could consider conducting a preliminary review of campaign financing and publishing its results before election day.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

54. Must reports from political parties and/or candidates include information on itemized spending?
  • CodeSometimes
  • Comment

    Party finance reports from 2017 list only general categories of spending and income. For instance the following informations are disclosed: 1.Support for the parliamentary group of the party in Parliament 2. Support for other organizations 3. Amounts used for the foundation of enterprises 4. Operating expenditures 5. Purchase of assets 6. Expenditures of political activities 7. Other expenditures. 

     

  • Source

    GRECO second compliance report RC-III Hungary. ”Transparency of Party Funding”

    https://www.coe.int/en/web/greco/evaluations/hungary

55. Which institution(s) receives financial reports from political parties and/or candidates?
  • CodeAuditing agency | Other
  • Comment

    The are two state bodies that have supervisory functions over the political entities in Hungary, namely the State Audit Office in respect of political financing (political parties and election candidates) and the Office of the Public Prosecutor in respect of the legality of NGOs, including political parties and party foundations. The National Election Committee controls the legality of elections.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

      

56. Which institution(s) is responsible for examining financial reports and/or investigating violations?
  • CodeYes, auditing agency
  • Comment

    The SAO exercise oversight over party and campaign financing. Parties are audited on a biannual basis, which recently resulted in fines for several parties, including a total of HUF 663 million for Jobbik for violating spending regulations.

  • Source

    Parliamentary Elections, 8 April 2018 ODIHR Limited Election Observation Mission Final Report

    https://www.osce.org/odihr/elections/hungary/385959?download=true

57. What power is granted to the institution(s) responsible for examining reports and/or investigating violations?
  • CodeRefer for investigation | Request additional information from potential violator | Request additional information from others
  • Comment

    The SAO is empowered to control the legality of political parties’ financial management. To this end, the SAO audits every two years the financial management of political parties that are entitled to obtain state subsidies. The SAO audits the financial management of other political parties (that have no public funding) once every four years. The controls of the SAO have been carried out, since 2003, in a uniform procedure in accordance with the general rules of financial audit. The aim of the audit of political parties is to establish whether the annual statement of a party complies with the regulations and if it contains information corresponding to the accounts and reality;

    The SAO is also mandated to monitor income and expenditure relating to public and private funds in relation to elections. This monitoring is also carried out ex officio by the SAO within one year of the second round of the elections in respect of political parties and independent candidates who have been successfully elected to Parliament, as well as at the request of candidates or political parties.

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

58. What sanctions are provided for political finance infractions?
  • CodeFines | Forfeiture | Suspension of public funding
  • Comment

    Pursuant to the Party Act (sections 4, 6 and 10) political parties that have accepted a pecuniary contribution by violating the financing rules (for example, from forbidden business activities or from anonymous donors) are obliged to pay the sum of that contribution – on demand of the SAO – to the state budget within fifteen days. In case of delay, the debt will be collected by the same procedure as taxes are collected. In addition, the budgetary subsidy of the party is to be reduced by the sum of the pecuniary contribution accepted, following a proposal of the SAO to the Ministry of Finance. The Ministry of Finance reports annually on the execution and the SAO controls it in a second audit.

    It follows from the Electoral Procedure Act (section 92) that a political party or an independent candidate that has exceeded the spending limit of one million HUF (approx. 4000 €) per candidate that applies in general elections in addition to the state subsidy, is obliged to pay double the amount by which it has exceeded the defined limit, within 15 days, to the central budget. In case of delay, the debt shall be collected as tax.

    If the SAO during audit comes across suspicion of a criminal offence, it has to notify the competent authorities and this may lead to action by the public prosecutor. Criminal sanctions 16 may be imposed if the Criminal Code so prescribes. Imprisonment and fines may be applied against natural persons; legal entities may face fines and other sanctions applied by a criminal court under Act CIV of 2001 on criminal measures applicable against legal entities. Moreover, violations of party financing laws may trigger criminal procedures for fraud, embezzlement, tax fraud, bribery, forgery of documents, misappropriation of funds etc. These crimes may be prosecuted ex officio or on the initiative of anyone (SAO Act, section 25; ARA, section 14 (2), 16 and the Civil Code, section 74/F (2)).

  • Source

    Greco Eval III Rep _2009_ 8E Final Hungary PF PUBLIC

    https://rm.coe.int/CoERMPublicCommonSearchServices/DisplayDCTMContent?documentId=09000016806c6b30

Disclaimer: Maps presented do not imply on the part of the Institute any judgement on the legal status of any territory or the endorsement of such boundaries, nor does the placement or size of any country or territory reflect the political view of International IDEA. Maps are used in order to add visual clarity to data.